GBP/USD Technical Analysis: Descending channel breakout on hourly

Omkar Godbole FXStreet Contributor

GBP/USD has moved out of the descending broadening channel, as seen on the hourly chart, and the upside is currently being capped by the 50-hour moving average.

Hourly chart

The upside break of the falling channel is backed by the RSI's move into bullish territory above 50.

As a result, the spot could soon find acceptance above the 50-hour moving average (MA), currently at 1.2991, and could rise to the hourly chart resistance at 1.3029.

The bullish case would weaken if the 50-hour MA, which is now flat lined (has shed bearish bias), proves a tough nut to crack.

Trend: Cautiously bullish

Pivot points

1. R3 1.3021
2. R2 1.3011
3. R1 1.2995
PP 1.2985
1. S1 1.297
2. S2 1.296
3. S3 1.2944

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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